The World Bank said the U.S. economy in 2025 will grow 1.4 percent, 0.9 percentage points slower than its January forecast. It also called for all nations to reduce tariffs.

The World Bank also predicted growth in China to slow to 4.5 percent in 2025, partly due to U.S. tariffs, a property market crisis, and demographic shifts. Growth in the eurozone is forecast at just 0.7 percent. India remains a bright spot, set to expand by 6.3 percent, though this is also below earlier predictions.

The World Bank says tariffs will hurt global growth, estimating that the trade war will shave almost half a percentage point from world GDP growth this year.